To be quite honest, I have not watched the movie. But having read the plot, and seeing that it implies that Salameh (the "Red Prince") was being protected and financed by the CIA in a quid pro quo arrangement, I can speak to that.

Salameh, who was part of "Black September", otherwise known as a front group for Fatah, was also the commander of Force 17, charged with protecting Palestinian leader Yasser Arafat. The Israelis saw Salameh's involvement in Munich as proof that Arafat himself was involved in the Munich Massacre, and obviously sought to take out Salameh. Salameh was not a very subtle guy, of course; he loved to live the high life, and famously went to Disneyland and Hawaii in 1977 on a trip reportedly arranged by the CIA itself. This came, of course, a few years after the botched attempt to kill Salameh, that resulted in the death of a waiter mistaken for Salameh, a situation that sparked a diplomatic crisis (the Lillehammer Affair) between Israel and Norway. The CIA had apparently even arranged to pay for the trip. Why? Well, as far as I've been able to tell, it was truly because, as contact man for secret talks between the PLO and the US, he had arranged a guarantee that American diplomats would not be attacked.

This has leaked out over the years, but it's not clear when Israeli intelligence got hold of the information. At any rate, some contend that it wasn't until the Begin government came into power in 1977 that the hunt for Salameh was resumed, following the Lillehammer Affair. The affair's story is fascinating, and the horror of the agents when they discovered they had been mistaken despite tailing the man they thought was Salameh for hours with photos of him is gripping, but I'll spare you the details and move on to how Salameh was eventually found and killed. Unlike in Munich, three Israelis were not killed during the operation and aftermath, there was not (as far as I know) any encounter with CIA agents, and the individuals responsible were working with Mossad, whose director had been given a fairly free hand by the new Prime Minister to hunt down Salameh. The Red Prince had been spending all of his time in Beirut, with Arafat, where the PLO would stay until the Lebanese Civil War, and Israeli intervention into it, in 1982, when they were expelled by Israeli forces to Tunisia. Israel relied on a woman named Erika Chambers to get to him; she had joined the special operations department under Michael Harari in the Mossad, and prepared to become an assassin. She had already established a fake identity, and visited numerous Palestinian orphanages, seeking to meet PLO officials who also visited them. Indeed, she apparently even befriended Salameh himself during these visits, at which point she notified Mossad that she'd found him.

Other agents had set up materials for explosives, and two other Israeli agents who infiltrated Lebanon using fake passports helped Chambers set up a vehicle with explosives along a route Salameh drove along daily to get to and from his home, that they had observed him repeatedly using. It was as simple as that: they loaded up a car with a bomb, waited for him to drive by, and detonated it, killing him instantly, along with four of his bodyguards and four bystanders. The agents then evacuated, went to the sea, got onto a naval commando boat, and came back to Mossad, where she received a hero's welcome. Only problem was, she left her British passport with the name "Erika Chambers" (her real name) in her Beirut apartment. Eventually, she retired and went entirely off the map, changing her name and cutting all ties with her family (besides occasional mail from undisclosed locations). As far as I know, she was never really heard from again, and she gave up her entire life to remain hidden and un-noteworthy after that. The Red Prince's death was celebrated in Israel, and went unmentioned by the CIA.

So while it is true that Salameh was receiving some money, perks, etc. from the CIA, it's not clear to me that they were actually protecting him in any way, or that they intervened in an assassination attempt.

It's worth noting that a decent chunk of Munich showed up the way it did based on the account of Juval Aviv, someone who claimed to be involved in the assassinations and who never was, and who the former Mossad director has said was an imposter. It was the release of Munich that prompted Zamir, head of Mossad until 1974, to say that the movie, "is a kind of Western, but with no connection to reality". He also pointed out that the Israeli motivation was not "revenge", so much as a dissatisfaction with the way Europe had handled the Munich Massacre. Until then, Israel had assumed "that European nations would not allow Palestinian terror to operate on their soil", which was why Israel never went after anyone in Europe before Munich. Israel saw itself as having to mete out justice, because terrorism against Israelis launched from Europe was growing, and European governments, Zamir said, seemed to do nothing but "arrest them, [and] after a while they were released". This was not due to CIA involvement either, as far as I can tell, but the movie should be taken with a huge pound of salt, is what I'm saying and understanding.

Can you explain to me the Lillehammer affairs or provide a source - sounds interesting